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Daily Global Market Update – 25th March, 2025

Daily Global Market Update – 25th March, 2025

Market Update: March 25, 2025

Global markets remain volatile as currency fluctuations and central bank expectations drive investor sentiment. Gold is consolidating above $3,000, while the Japanese yen weakens, and the Australian dollar gains support ahead of the RBA’s April meeting. The EUR/GBP pair remains under pressure near recent lows.

Japanese Yen Weakens to Three-Week Low Against USD

The Japanese yen has depreciated to its lowest level in three weeks against the US dollar. A combination of dovish monetary policy expectations from the Bank of Japan and a relatively stronger greenback has contributed to this decline. However, the lack of follow-through selling suggests that traders are waiting for further cues, including US economic data and any policy shifts from the BOJ.

Australian Dollar Finds Support as RBA Holds Steady

The Australian dollar is showing resilience as traders anticipate that the Reserve Bank of Australia (RBA) will keep interest rates unchanged in its April meeting. While inflation remains a concern, the RBA has signaled a cautious approach to further tightening, which is providing near-term support for the currency. Market participants are closely watching domestic labor data and global risk sentiment for additional direction.

Gold Consolidates Above $3,000, Limited Downside Risk

Gold prices are holding steady above the $3,000 mark, with downside risks appearing limited despite some consolidation. Investors continue to seek gold as a safe-haven asset amid ongoing geopolitical concerns and inflationary pressures. While profit-taking has caused some price fluctuations, strong demand for the metal is keeping it well-supported. Traders are now looking toward US Federal Reserve commentary for potential signals on future interest rate policy, which could impact gold’s trajectory.

EUR/GBP Struggles Near Three-Week Low

The EUR/GBP pair is consolidating above the mid-0.8300s, struggling to regain momentum after touching a three-week low on Monday. The euro remains under pressure due to economic uncertainty in the Eurozone, while the British pound is finding some stability on expectations of a steady Bank of England policy. Market focus is on upcoming economic releases, including UK inflation data, which could influence the pair’s next move.

Broader Market Context

Global markets remain sensitive to monetary policy shifts and economic data. Equity markets are mixed as investors assess inflation trends, central bank outlooks, and geopolitical risks. The US dollar continues to show strength against weaker currencies, while commodities like gold and oil remain volatile amid supply concerns and shifting risk sentiment.

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Daily Global Market Update – 24th March, 2025

Daily Global Market Update – 24th March, 2025

Market Update: March 24, 2025

Global markets are experiencing mixed movements as the US dollar weakens, commodities remain volatile, and investors assess risk sentiment. Gold has pulled back after briefly surpassing $3,000, while oil prices continue to climb amid supply concerns. The NZD/USD pair is facing key resistance, and the dollar index appears vulnerable to further declines.

Dollar Weakens Further as Market Sentiment Shifts

The US Dollar Index (DXY) has fallen below 104.00, signaling potential further downside. A combination of softer economic data, shifting risk sentiment, and global trade concerns is putting pressure on the greenback. Investors are closely monitoring upcoming data releases for signs of economic resilience.

Gold Struggles to Hold Above $3,000

After briefly touching record highs above $3,000, gold prices have pulled back as risk appetite improves. While safe-haven demand remains a key driver, investors are watching for any shifts in the Federal Reserve’s policy stance that could impact the metal’s outlook.

NZD/USD Faces Key Resistance at 0.5750

The New Zealand dollar is attempting to push higher but faces strong resistance near the 0.5750 level, which aligns with its nine-day EMA. A successful breakout could open the door for further gains, but sellers remain active at this level.

Crude Oil Gains Amid Supply Concerns

WTI crude oil prices continue to rise, supported by strong US demand and geopolitical tensions. With supply risks remaining in focus, oil traders are eyeing further upside, though potential demand slowdowns in major economies could limit gains.

Broader Market Context

Markets remain sensitive to shifting economic data, central bank policies, and geopolitical developments. Equity markets are showing mixed performance as investors weigh inflation trends and interest rate expectations. Commodities are experiencing volatility, driven by supply chain concerns and shifting global demand. Meanwhile, forex markets are responding to central bank signals and broader risk sentiment. As uncertainty persists, investors continue to seek clarity on growth prospects and potential monetary policy shifts.

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Daily Global Market Update – 21st March, 2025

Daily Global Market Update – 21st March, 2025

Market Update: March 21, 2025

Global markets are pulsing with a blend of caution and momentum as economic signals, currency shifts, and commodity trends set the tone. Here’s a rundown of the latest developments shaping today’s market, focusing on gold, the Japanese Yen, silver, and EUR/USD:

EUR/USD Drops Toward 1.0800

The Euro (EUR) against the US Dollar (USD) is falling toward 1.0800, breaking below its nine-day EMA at 1.0880 in early Friday trading. After failing to hold above 1.1000 this week, EUR/USD is shedding gains as the USD rebounds and Fed rate-cut bets stabilize post-FOMC. The pair’s slide from a five-month high of 1.0967 reflects technical weakness and a cautious market mood, with traders eyeing US data for the next spark.

Gold Retreats Toward Overnight Low

Gold (XAU/USD) is sliding back closer to its overnight swing low, dipping to the $3,030 area during the Asian session on Friday. This pullback is driven by a modest uptick in the US Dollar, with the US Dollar Index (DXY) edging up to 103.85. Despite hitting an all-time high of $3,058 earlier this week, gold’s safe-haven rally is pausing as traders take profits and await further US economic cues, though tariff tensions continue to support its broader uptrend.

Japanese Yen Weakens Post-Inflation Data

The Japanese Yen (JPY) is drifting lower against the US Dollar (USD), with USD/JPY climbing to 148.70 after Japan’s inflation data showed a steady 2.5% CPI for February. While the bullish bias remains intact—bolstered by expectations of tighter Bank of Japan policy—the Yen’s softness reflects a stronger USD and mixed market sentiment. Traders are watching for any hawkish signals from Tokyo to counter this slide, with resistance eyed at 149.00.

Silver Nears Weekly Low Above $33.00

Silver (XAG/USD) is flirting with its weekly low, trading just above the $33.00 mark at around $33.10 in the European session. This decline aligns with gold’s retreat and a firmer USD, pressuring the grey metal after it peaked at $34.20 earlier this month. Despite a bullish undertone from safe-haven flows, silver’s momentum is fading, with support at the nine-day EMA ($32.80) now in focus as a potential floor.

Broader Market Context

Markets are navigating a tug-of-war between a modestly stronger US Dollar and lingering global uncertainties. Gold and silver are cooling off from recent highs as profit-taking kicks in, while the Japanese Yen softens despite a bullish outlook. EUR/USD’s descent underscores USD resilience, with the Fed’s steady 4.25%-4.50% rate stance and tariff jitters shaping sentiment. As risk appetite wavers, the interplay of upcoming US releases and central bank moves will drive the next wave. Ready to trade these market moves? Create an account now and stay ahead of the curve!

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Daily Global Market Update – 20th March, 2025

Daily Global Market Update – 20th March, 2025

Market Update: March 20, 2025

Global markets are pulsing with anticipation and mixed signals as economic data, Fed expectations, and commodity shifts steer the course. Here’s a rundown of the latest developments shaping today’s market, focusing on EUR/USD, gold, GBP/USD, and WTI crude oil:

EUR/USD Stalls Below 1.1000

The Euro (EUR) against the US Dollar (USD) is struggling to break decisively above 1.1000, as noted by ING analysts. Trading around 1.0940 in the European session, the pair is facing resistance despite earlier strength that saw it touch a five-month high of 1.0967. A stabilizing USD, post-Fed’s decision to hold rates at 4.25%-4.50%, and mixed ECB commentary are keeping EUR/USD in a consolidative mode, with traders eyeing US data for direction.

Gold Bulls Hold Near Record Highs

Gold (XAU/USD) bulls are retaining control, trading near its all-time peak of $3,056 at around $3,048 during European hours. A flight to safety, fueled by persistent trade tensions and tariff uncertainties, is underpinning the precious metal’s strength. Even with a modest USD uptick (DXY at 103.80), gold’s safe-haven appeal remains intact, keeping it poised for potential new highs as markets digest the Fed’s steady stance.

NZD/USD Slips to Near 0.5750

The New Zealand Dollar (NZD) versus the US Dollar (USD) is extending its losing streak, drifting near 0.5750 despite robust Q4 GDP growth in New Zealand. The Kiwi’s slide to a three-week low reflects a broader risk-off sentiment and a firmer USD, overshadowing positive domestic fundamentals. Technical indicators hint at further weakness, with support at 0.5730 in focus unless global risk appetite rebounds.

WTI Crude Oil Gains Momentum

WTI crude oil prices are trending bullish at the European opening, rising to $67.50 per barrel from $67.20. This upward move is supported by a weaker USD and lingering geopolitical risks, despite easing Middle East tensions. OPEC+ plans to increase production from April loom as a ceiling, but optimism around China’s demand and US-Canada trade talks are driving WTI’s current strength, with traders watching inventory data closely.

Broader Market Context

Markets are balancing the Fed’s decision to hold rates steady with ongoing global uncertainties. EUR/USD and NZD/USD are feeling the weight of a resilient USD, while gold shines near record levels as a safe-haven star. WTI crude oil’s bullish tilt reflects a mix of supply risks and demand hopes, contrasting with currency softness. As trade tensions simmer and risk sentiment fluctuates, the next wave depends on US economic releases and central bank cues. Ready to trade these market moves? Create an account now and stay ahead of the curve!

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Daily Global Market Update – 19th March, 2025

Daily Global Market Update – 19th March, 2025

Market Update: March 19, 2025

Global markets are pulsing with anticipation and mixed signals as economic data, Fed expectations, and commodity shifts steer the course. Here’s a rundown of the latest developments shaping today’s market, focusing on EUR/USD, gold, GBP/USD, and WTI crude oil:

EUR/USD Swings Between 1.0905 and 1.0970

The Euro (EUR) against the US Dollar (USD) is set for a choppy ride, likely trading between 1.0905 and 1.0970, according to UOB Group analysts. This comes as the pair hovers near 1.0930 in early European trading, pressured by a resurgent USD ahead of the Fed’s rate decision. A softer Greenback earlier this week had lifted EUR/USD to a five-month high of 1.0967, but with the FOMC outcome looming, volatility is the name of the game.

Gold Takes a Breather Near Record Highs

Gold (XAU/USD) bulls are catching their breath after pushing prices to a fresh all-time high above $3,038. Trading around $3,029 in the European session, the precious metal is consolidating as markets await the Fed’s next move, expected to hold rates steady at 4.25%-4.50%. Despite a slight pullback, gold’s safe-haven allure remains strong amid tariff uncertainties and a shaky USD, keeping it poised near the $3,000 mark.

GBP/USD Climbs Unevenly Toward 1.3030

The Pound Sterling (GBP) versus the US Dollar (USD) is expected to edge higher in an uneven fashion, ranging between 1.2955 and 1.3030, per UOB Group. After dipping to 1.2925 last week, GBP/USD is gaining traction near 1.2980, buoyed by a weaker USD and cautious optimism. However, the Fed’s decision and potential US economic slowdown fears could cap its ascent, making for a bumpy ride.

WTI Crude Oil Turns Bearish Below $67.00

WTI crude oil prices are tilting bearish at the European opening, slipping below $67.00 per barrel from a recent high of $68.34. This downturn follows a volatile stretch, with prices retreating from a two-week peak amid easing Middle East tensions and a stronger USD. OPEC+ plans to ramp up production from April add further downward pressure, though China’s demand outlook offers a faint glimmer of support.

Broader Market Context

Markets are on tenterhooks as the Fed’s rate decision looms large. EUR/USD’s choppy dance reflects USD uncertainty, while gold holds firm near record territory, signaling safe-haven demand. GBP/USD’s uneven climb contrasts with WTI’s bearish slide, highlighting a split between risk assets and commodities. With the USD Index (DXY) testing 103.70 and tariff talks simmering, the interplay of Fed guidance and global risk sentiment will steer the next wave. Ready to trade these market moves? Create an account now and stay ahead of the curve!

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Daily Global Market Update – 18th March, 2025

Daily Global Market Update – 18th March, 2025

Market Update: March 18, 2025

Global markets are alive with volatility, fueled by breaking economic updates, evolving trader sentiment, and commodity shifts. Here’s a look at the hottest developments shaping today’s market, focusing on Trump-related news, oil, CAD, and WTI crude oil:

Trump’s Tariff Threats Escalate Tensions with Europe

President Donald Trump’s “Trump 2.0” agenda is ramping up tariff risks, particularly for Europe, as Standard Chartered notes. His push for aggressive trade policies is raising fears of a retaliatory trade war, unsettling markets and driving uncertainty. This development is tilting sentiment toward safe-haven assets as traders weigh the potential economic fallout.

WTI Crude Hits $68.00 on Geopolitical Heat

WTI crude oil prices are surging past $68.00 per barrel, reaching a two-week peak amid Middle East tensions and optimism over China’s demand outlook. Trump’s hawkish Yemen stance is amplifying supply concerns, while a weaker US Dollar adds fuel to this bullish run, keeping oil markets on edge.

CAD Strengthens Before Canada’s CPI Data

The Canadian Dollar (CAD) is gaining ground ahead of the February CPI release, expected to show a slight easing in inflation. Rising WTI prices are bolstering the commodity-tied currency, though Trump’s tariff warnings against Canada temper the upside. The CPI outcome could either solidify CAD’s gains or spark a pullback.

Oil Prices Climb as Risks Mount

Geopolitical pressures are intensifying in the oil market, with ING pointing to Trump’s Yemen policy as a key driver. WTI’s climb above $68.00 and Brent’s push toward $71.00 reflect heightened Middle East risks and a softer USD. China’s economic optimism further supports this uptrend, keeping crude in sharp focus.

Broader Market Context

Markets are navigating a volatile mix of Trump-driven tariff fears and geopolitical flare-ups. WTI’s surge underscores oil’s sensitivity to Middle East unrest and China’s recovery, while CAD holds firm with an eye on inflation data. Trump’s policies are casting a long shadow, pressuring risk assets and lifting commodity prices. As sentiment wavers, the next moves hinge on US economic signals and global trade developments. Ready to trade these market moves? Create an account now and stay ahead of the curve!

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Daily Global Market Update – 17th March, 2025

Daily Global Market Update – 17th March, 2025

Market Update: March 17, 2025

Financial markets are buzzing with activity driven by fresh economic data, shifting sentiment, and commodity movements. Here’s a look at the hottest developments shaping today’s market, focusing on WTI crude oil, the US Dollar Index, EUR/USD, and gold:

WTI Crude Oil Rises Above $67.50

WTI crude oil prices are climbing, trading above $67.50 per barrel in the early Asian session. This uptick follows a positive shift in risk sentiment and a rebound in oil prices. Despite ongoing US tariff uncertainties, optimism around US-Canada trade talks and a weaker US Dollar are supporting this recovery, though gains remain cautious as traders eye global demand signals.

EUR/USD Holds Above 1.0900

The Euro (EUR) against the US Dollar (USD) remains firm above 1.0900, capitalizing on the Greenback’s weakness in early trading. This stability follows a strong run, driven by optimism over Germany’s fiscal plans and a softer USD post-CPI. With the pair near a four-month high, traders are watching for catalysts to push it toward the psychological 1.1000 level or trigger a pullback.

Gold Slips Below $3,000

Gold prices (XAU/USD) are edging lower, dipping below the $3,000 mark to around $2,986 in early trading. Despite a year-long surge fueled by trade tensions and Fed rate-cut bets, this slight retreat reflects profit-taking and a modest USD bounce. Gold remains close to its all-time peak, with safe-haven demand still underpinning its broader bullish trend.

US Dollar Index Struggles Near 103.70

The US Dollar Index (DXY) is under pressure, trading around 103.70 during Asian hours, close to its lowest levels since early November. After failing to sustain recent gains, the DXY is grappling with fresh selling amid tariff-related slowdown fears and a high probability of no Fed rate change soon. The index’s vulnerability persists as markets await further US economic cues.

Broader Market Context

Markets are at a crossroads. WTI crude oil’s rise signals cautious optimism, while the US Dollar Index’s struggles highlight ongoing economic uncertainty tied to US tariffs. EUR/USD’s strength underscores the Euro’s resilience, contrasting with gold’s minor pullback from record highs. As risk sentiment improves slightly, the interplay of US data releases and global trade developments will likely dictate whether these trends deepen or shift. Ready to trade these market moves? Create an account now and stay ahead of the curve!

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Daily Global Market Update – 14th March, 2025

Daily Global Market Update – 14th March, 2025

Market Update: March 14, 2025

Financial markets are showing dynamic shifts driven by economic data releases, tariff developments, and currency movements. Here’s a snapshot of today’s key market drivers:

GBP/USD Drifts Lower Near 1.2925

  • The Pound Sterling (GBP) is softening against the US Dollar (USD), hovering around 1.2925 in the early European session on Friday. This drift lower follows a modest improvement in global risk sentiment, which has slightly eroded GBP’s appeal as a safe-haven currency. Posts on X highlight this pullback, with traders watching closely to see if this signals a broader correction after recent resilience.

AUD/USD Defends Bids Below 0.6300

  • The Australian Dollar (AUD) is staging a defense below the 0.6300 level during Friday’s Asian session, bolstered by a brighter risk appetite and a USD lift from US-Canada trade optimism. After shedding losses from three consecutive days, AUD/USD’s recovery remains tempered by ongoing US tariff uncertainties, keeping the risk-sensitive Aussie in a cautious stance.

USD/JPY Builds on Rebound Ahead of CPI Fallout

  • The US Dollar against the Japanese Yen (USD/JPY) is extending its recovery, climbing from a five-month low of 146.52 to a weekly high of 148.59. Friday’s positive start builds on the aftermath of Wednesday’s US CPI data (headline 0.25%, core 0.27% for February), which hinted at cooling inflation. This rebound suggests shifting momentum, though tariff-related headwinds could still cap gains.

US Dollar Index Tests Support at 103.50

    • The US Dollar Index (DXY) is finding stability around 103.60 in Asian hours, testing key support near 103.50 after Thursday’s uptick. Following a slide to multi-month lows earlier this week, the Greenback is steadying as markets digest a 95% probability of no Fed rate change on March 19, per the CME FedWatch tool. Yet, tariff-driven slowdown fears keep the DXY on shaky ground.

Broader Market Context

On March 14, 2025, markets are balancing a fragile US Dollar recovery against lingering economic uncertainties. The GBP/USD’s retreat contrasts with AUD/USD’s tentative rebound, while USD/JPY capitalizes on post-CPI momentum. The DXY’s test of support underscores a market grappling with mixed signals—cooling US inflation offers some relief, but Trump’s tariff policies continue to cloud the outlook. With risk sentiment ticking up, traders are poised for further volatility as the week closes.

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Daily Global Market Update – 13th March, 2025

Daily Global Market Update – 13th March, 2025

Market Update: March 13, 2025

Global markets on March 13, 2025, are shaped by a subdued US Dollar and escalating concerns over a potential trade war, driven by new tariffs under the Trump administration. Investors are adopting a cautious stance, with safe-haven assets gaining traction and attention turning to the upcoming US Producer Price Index (PPI) inflation data, which could steer market direction later today. Below is a detailed breakdown of key market movements.

AUD/USD Holds Steady Amid Trade War Caution

  • Current Level: The Australian Dollar (AUD) is trading steadily above 0.6300 against the US Dollar (USD) during Thursday’s Asian session.
  • Supporting Factors: A broadly weaker US Dollar provides support, reflecting a risk-off sentiment in global markets.
  • Key Concerns: Escalating trade tensions, particularly with new US tariffs (25% on Canadian and Mexican products, 20% on Chinese imports), are raising fears of a broader trade war. As Australia’s largest trading partner, a slowdown in China could dampen demand for Australian commodities, pressuring the AUD.
  • What to Watch: The US PPI inflation data, due later today, is anticipated to offer fresh impetus. Softer inflation could reinforce expectations of Federal Reserve rate cuts, potentially weakening the USD further and supporting AUD/USD.

Crypto Trading Volume Declines, Reflecting Market Fatigue

  • Market Trend: Cryptocurrency trading volume has been dropping since its peak on February 27, according to Santiment data, signaling waning trader enthusiasm and diminishing market momentum.
  • Capitalization Loss: The total crypto market capitalization has shed $1.01 trillion since January, falling from $3.69 trillion to $2.69 trillion.
  • Implications: The decline in volume, even amid minor price recoveries, suggests cautious sentiment. Traders appear hesitant to engage, awaiting stronger signals of a sustainable uptrend. For a healthier recovery, rising prices need to be accompanied by increasing volumes, a condition yet to materialize.

Japanese Yen Strengthens, USD/JPY Nears 148.00

  • Current Movement: The Japanese Yen (JPY) is edging higher against the USD, dragging the USD/JPY pair closer to 148.00 in Thursday’s Asian session.
  • Driving Forces:
    • Safe-Haven Demand: Concerns over a global trade war, fueled by Trump’s tariff policies, bolster the Yen’s safe-haven appeal.
    • Hawkish BoJ Outlook: Expectations of further rate hikes by the Bank of Japan (BoJ), supported by rising wages and broadening inflation, keep Japanese government bond yields elevated, narrowing the rate differential with other countries.
  • USD Pressure: A weaker USD, hovering near multi-month lows amid Fed rate-cut bets, limits upside for USD/JPY. Traders are monitoring the 148.00 level as a key support, with potential for further declines if risk aversion intensifies.

GBP/USD Remains Strong Near Four-Month Highs

    • Current Level: The British Pound (GBP) is holding firm above 1.2950 against the USD, trading near four-month highs around 1.2960 during the Asian session.
    • Supporting Factors:
      • USD Weakness: Ongoing tariff uncertainty and cooling US inflation (February CPI at 2.8% YoY) fuel expectations of Fed rate cuts, pressuring the USD.
      • UK Resilience: Despite a drop in the RICS Housing Price Balance to 11% in February, the Pound remains robust, supported by expectations that the Bank of England (BoE) will maintain higher rates longer, with UK 10-year gilt yields hitting 4.68%.
    • Next Steps: Traders are eyeing a potential breakout above recent highs, with Friday’s UK GDP data providing further insight into economic strength.

Gold Targets Record Highs Amid Trade War Fears

      • Current Trend: Gold prices (XAU/USD) are building on recent gains, climbing to a two-week high and aiming to retest lifetime highs of $2,956 during Thursday’s Asian session.
      • Driving Forces:
        • Bullish Setup: A strong technical outlook supports gold’s upward momentum, with the price resting above the 20 SMA at $2,912.50 and the RSI at 60.
        • Safe-Haven Appeal: Rising trade tensions, including new US tariffs and retaliatory measures from Canada and the EU, enhance gold’s status as a hedge against economic uncertainty.
      • USD Influence: Persistent USD weakness, driven by softer-than-expected US inflation data, further boosts gold’s appeal. A break above $2,941.40 could pave the way for a challenge of the $2,956 peak.

Broader Market Context

Markets on March 13, 2025, reflect a cautious tone, with the US Dollar under pressure and safe-haven assets like the Japanese Yen and gold gaining favor. The AUD/USD pair remains stable above 0.6300, while GBP/USD holds strong near its four-month highs. In contrast, the cryptocurrency market shows signs of fatigue with declining trading volumes. The upcoming US PPI inflation data is poised to be a pivotal event, potentially injecting volatility and shaping the near-term trajectory of these markets. Investors remain on edge as they assess the broader implications of a Trump-induced trade war on global economic prospects.

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Daily Global Market Update – 12th March, 2025

Daily Global Market Update – 12th March, 2025

Market Update: March 12, 2025

Financial markets are poised at a critical juncture with key currency pairs reacting to shifting dynamics and the looming US CPI report. Here’s a detailed look at today’s key market developments:

GBP/USD: Momentum to Test 1.2975?

The Pound Sterling (GBP) against the US Dollar (USD) is holding onto gains, with UOB Group analysts suggesting it may have just enough momentum to test the 1.2975 level. This resilience comes ahead of the pivotal US inflation data release today at 12:30 GMT, which could sway Federal Reserve rate-cut expectations. GBP/USD’s strength reflects a cautious optimism, though traders remain on edge as the CPI outcome could either bolster or derail this upward push.

NZD/USD: Bulls on the Defensive Near 0.5700

The New Zealand Dollar (NZD) versus the US Dollar is struggling, with bulls remaining defensive near the 0.5700 level. Focus is squarely on the upcoming US CPI report, which could dictate whether NZD/USD holds this key psychological threshold or succumbs to further pressure. The “Kiwi” is caught between USD-driven sentiment and its own technical fragility, making today’s data a potential turning point.

USD/CAD: Hovering Below 1.4450

The US Dollar against the Canadian Dollar (USD/CAD) remains below 1.4450, trading near immediate support at the nine-day EMA. This positioning reflects a tentative USD amid broader market anticipation of the US inflation figures. A weaker-than-expected CPI could push USD/CAD lower, while a stronger report might provide the lift needed to challenge resistance levels above.

Broader Market Context

Markets are in a holding pattern as traders await the US CPI data, a high-stakes release that could influence the US Dollar’s trajectory and global risk sentiment. The Pound Sterling’s potential to test 1.2975 highlights its relative strength, while NZD/USD and USD/CAD illustrate the USD’s mixed performance. Economic slowdown fears in the US, coupled with tariff policy uncertainties, continue to weigh on the Greenback, setting the stage for potential volatility post-CPI.

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